EXCLUSIVE: 'Invest Like Buffett,' This ETF CEO Is Riding The Berkshire Hathaway Buzz - VistaShares Target

Benzinga sat down with Adam Patti, CEO of VistaShares Target 15 Berkshire Select Income ETF (NYSE:OMAH), to discuss the exchange-traded fund that is striking a chord with investors.

Why? The ETF has captured over $100 million in assets in under two months — a stunning debut that's raising eyebrows and expectations.

The fund combines core equity exposure that mirrors Berkshire Hathaway's (NYSE:BRK) top publicly traded holdings (plus BRK.B itself) with an actively managed options overlay targeting a 15% annual yield. The conversation comes on the heels of the Berkshire Hathaway Annual Shareholder Meeting in Omaha.

Also Read: ‘You’ve Got To Check Emotions At The Door:’ Warren Buffett Offers Timeless Investing Wisdom Amid Market Turmoil

"We're thrilled with the immediate and significant investor interest in OMAH," Patti says. "We have seen the demand come from all types of investors, Retail, RIAs and Family Offices. I believe the success we have had is a function of several things.”

Key Factors To Remember

Patti says we have been in a “momentum-driven market for several years,” and that the switch has flipped so that Quality and Value-oriented companies are leading the market. BRK.B is known for its Value orientation and it has handily outperformed the S&P500 year to date.

“While BRK.B has performed incredibly well, it doesn't pay a dividend, which has become increasingly important to investors, particularly during the recent volatile markets,” he adds. “The opportunity to invest like Buffett but with Income has certainly resonated. Investors have been using OMAH as a core equity position in their portfolios as well as a way for existing BRK.B investors to create synthetic dividend exposure while remaining invested in an equity portfolio that mirrors BRK.B's largest publicly traded holdings. "

Filling A Dividend-Sized Gap In Buffett's Playbook

Berkshire Hathaway is legendary, but it famously doesn’t pay a dividend. This is a persistent frustration for income-hungry investors who still admire Buffett's long-term approach.

"While we were researching ways to enter the income space in a differentiated way, the lack of dividend paid by BRK.B kept coming up, and as we know BRK.B is extremely widely held," Patti explained. "We believed that providing the core equity exposure of BRK.B but with a robust income target could be valuable for investors. For those investors seeking to generate income from their existing BRK.B holdings, OMAH is an ideal vehicle to add other their portfolio.”

For long-time BRK.B holders, OMAH even presents a synthetic dividend solution. It lets them maintain a Buffett-style portfolio while layering in monthly income.

The 15% Yield Ambition

A headline-grabbing 15% targeted annual yield might sound aggressive, but VistaShares has paired it with a rules-based, seasoned team managing the options overlay. The approach? A mix of data-driven trades like out-of-the-money calls and call spreads—executed with precision.

Patti runs the strategy specifically to generate 1.25% income per month.

"When the 1.25% is achieved for any specific position, we immediately close out that position. We aren't speculating with our trades; it's a disciplined approach,” he says. “We are not looking to achieve more than that. In instances where we are able to generate additional income above that target without capping equity upside, we simply reinvest those proceeds back in the NAV. The options team uses a variety of strategies to manage risk and volatility in the portfolio.”

With over $10 billion in ETF assets under options management, the team behind OMAH brings a robust track record to the table, something Patti says is essential to earning investor trust.

‘No Free Lunch’

According to Patti, OMAH has two core goals:

Generate 15% annual income, paid monthly

Capital appreciation.

“The recent market volatility actually helps quite a bit on the income generation,” he says. “The key is to perform equally as well in all market conditions. As we all know, there is no free lunch. “

The income generation does come at the expense of long-term equity price appreciation, says Patti. Over time, he predicts that OMAH will provide about 70-75% of the upside and 85-90% of the downside compared to BRK.B.

The ETF currently holds 21 stocks, with BRK.B always at the top, mirroring Berkshire's 20 largest public equity positions. The fund is rebalanced quarterly to reflect changes, but it does not include Berkshire's private investments, cash reserves, or smaller positions below the top 20.

Income Is Half the Cake

While many funds sprinkle options overlays on top for extra yield, Patti says OMAH is built differently.

"The income generation is the primary goal of the investment strategy, with capital appreciation a close second," he said, highlighting the fact that income generation is not the afterthought, it is the driver.

Also Read: Warren Buffett And His Successor Greg Abel Say Berkshire Hathaway Could Hold This $20B Bet For ’50 Years Or Forever’

Invest like Buffett, But With Income

While OMAH didn't roll out any flashy promos at this year's Berkshire meeting, VistaShares is playing the long game.

"we will continue to educate the market through various tactics including investment research on our website, podcasts and other forms of media outreach. We take great pains to try to educate investors not only on how our products are constructed, but perhaps more importantly, what investors should expect over long term holding periods," said Patti.

For investors still sitting on the fence, Patti keeps it simple: "Who doesn't want to invest like Warren Buffett, but with Income? OMAH offers that unique opportunity."

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